Shared ownership is also known as part-buy/part-rent home.
This scheme is designed to aid people who are not able to purchase a home outright to get on to the property ladder.
You can purchase between 25% and 75% of the property’s value and pay a subsidised rent on the remaining share that you don’t own. Later on, you could buy bigger shares when you can afford to.
The amount you are able to purchase is dependent on your household income and lifestyle.
To be eligible for shared ownership in London:
- Your household would need to earn £90,000 a year or less
- You are a first-time buyer, you used to own a home but can’t afford to buy one now, or are an existing shared owner looking to move.
Your Shared Ownership purchase can either be that of a newly built home or an existing one through the resale programmes from Gateway or any other housing association.
You’ll need to take out a mortgage to pay for your share of the property’s purchase price, or fund this through your savings. Shared Ownership properties are always leasehold.
Gateway's first priority group are people who live or work in the borough of Tower Hamlets.
Older persons' shared ownership
This shared ownership scheme has the same concepts as standard Shared Ownership, with the only difference being:
- You have to be aged 55 or over
- Initial share to be purchased is between 25% - 75%
- The maximum share that is available to be purchased is 75%
- If you choose to buy the maximum 75%, you will pay no rent on the remaining 25%
In 2012, Gateway carried out research into the demand for housing for older people in Tower Hamlets.
We found that many we spoke to wanted to make a planned move in preparation for later life.
A pull for them would be well-designed, affordable homes with some outside space.
A home that could easily be adapted to meet their needs, with flexible support they could call on when needed.
Some wanted to use the equity in their home to buy something more suitable if their home no longer worked for them.
We put this research into action and started to build well-designed, spacious homes at a lower price point.
Purchasers pay just 75% of the market value and do not pay rent on the rest.
We are confident that our Older Persons' Shared Ownership offer is an aspirational one for local people.
To find out more about the shared ownership homes we offer for older people visit www.gatewayliving.org.uk
Shared Ownership Case Studies
'Community was the main thing that helped us make the decision to move to Older Persons' Shared Ownership. We didn’t see our neighbours much before but when we moved into William Cubitt Lodge it felt much closer knit. I’d say our social life has really stepped up a few rungs of the ladder since we moved in. The location was also what did it. I’ve lived in East London all my life but would have had to move further out or to a bungalow because it would be too expensive to stay. Older Person’s Shared Ownership was a way of living in a great location that we couldn’t otherwise afford.' - Walter Berwick, OPSO resident
'I am so glad I chose to live here. My flat is beautiful and I am so proud of it. The flat is very safe, very quiet and very easy to maintain. Life is so much easier in a purpose built flat. I can’t tell you how happy I am with my home and owning 75% has freed up some money for a pension that is an added comfort. Being able to reach this age and be so happy in my home, I feel very secure saying I know where I will be for the rest of my life. Thank you Gateway!' - Pamela Williams, OPSO resident